Dodge City times. [volume] (Dodge City, Kan.) 1876-1892, 1887-06-09
From the Prairie Farmer.
THE GREAT WHEAT DEAL.

From the Prairie Farmer.
THE GREAT WHEAT DEAL,
As the Prairie Farmer has frequently
narrated. there is now in progress one OF
the largest wheat deals probably the
largest ever known in the world. AS the
success Of such enterprises always de.
ponds upon secrecy" it is of course i'm.
possible to find out anything very &C.
curately. For example, most Of the or
ders for purchase of wheat in Chicago.
apparently come from some one in Gin
cinnati, though the operators may be
here, in San Francisco, in New York. in
London, etc. The Standard Oil Co. is
credited with having hand in it, This
clique began by picking up and holding
all the wheat on the wheat on the Pacific
coast, and buying in Great Britain and
holding out of the market the successive
vessel loads coming from California, and
then by buying up options for May de-
livery here. For some reason, the deal
was carried over from May to June, and
it is now thought that it may be contin.
ued into July, as sellers are very wary
about disposing of options to any one
supposed to represent the clique. The
best estimates place the present ownership
Of wheat by the combination at upwards
of $1,000. 600 bushels. They will prob
ably try to continue their operations un-
til they can get control of all the wheat
there is in this country. and on the way
abroad. If they succeed in this as the
consumption must go on, and large i'm:
mediate supplies can be obtained from no
other source, they will be able to fix their
own prices. OF course large amount of
capital is required. but. so far, this has
been supplied by the banks. which con-
slider certificates Of wheat in the ele
vatOrs or stOrehOuses as the best cOllat,
eral security. So large has been the de.
mand for money for this purpose, that
the Chicago money market especially has
been, and is. very tight, and rates of in
terest are extraordinarily high for the
season. What the intention of the clique
may be, it is of course impossible to tell.
They may be able to get actual posses.
sion of all available wheat and make
their own prices, or they may secure
enough Of il to maintain pretty high
rate. and gradually let go portions Of it
at the higher figures, thus making good
profit. They have all the time between
now and harvest to operate in, rs there is
very little wheat that can be brought
from any part of the world to trouble
them, either in America or foreign mar
kets.
Bradstreet states that according TO the
estimate of last years crop.
with the reserves added. and with the
usual ratio for consumption for food, seed
and manufacturers, there will be less
than Is million bushels of wheat for ex-
port until the new crop arrives, aside
from the 80, OOO. 900 bushels usually scat
tered about the country as u permanent
reserve every year. This reserve may be
lrawn down the present year to the ex-
ent of Is to II million bushels; but the
demand in Great Britain
md on the Continent can only be supplied
y the Pacific coast, Australia, and some
shipments via the Suez canal from India,
! little from Egypt Austria. Russia, the
Argentine Republic. and from the United
states: but none of the countries named
aside from our OWN has any consider
'ble amount of wheat on hand. Those
Who are managing the wheat deal under
tand this matter thoroughly.
While, as We have frequently written
n years past, such great wheat deals are
liable, in the long run. to work against
'ur farmers, because they stimulate in
reased attention to wheat growing in
countries, yet the operations
# the deal at the present time are bene.
fetal to all our farmers who have any
grain. The price of wheat
8 kept high, and is likely to continue so.
8 long as the operations of the Clique
re maintained. If the growing crop in
his country and elsewhere should be
uit moderate in yield, the deal may be
arried on through the next crop year.
With these explanations we can only
epeat our former advice. for everyone
aving grain unsold to keep it in the
est marketable condition. fully up to
rade, and be ready to instantly take adj
antage of any very marked rise in prices,
7hich may come.
From the san Francisco Chronicle.
II nj